Who is responsible for retaining and exercising direct management control over the Best Western property's business?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
Whether you are an individual, corporation, limited liability company, partnership or other entity, you must at all times retain and exercise direct management control over the Property's business. If you operate a Best Western, a Best Western Plus, a Best Western Premier, an Executive Residency by Best Western, an @Home by Best Western, a Vīb, or a GLō System Hotel you are required to fulfill this responsibility only by providing qualified and experienced management, which may be (i) a management company that meets our then-current Standards and is approved by us to operate the Property, or (ii) a full-time, dedicated, on-premises general manager ("General Manager"). If you operate an Aiden System Hotel you are required to fulfill this responsibility only by hiring a management company that meets our then-current Standards and is approved by us to operate the Property. We may reject a proposed management company if we determine that it is unwilling or unable to comply with all requirements under our then-current Standards. You are required at all times to provide to us up-to-date information regarding the name and contact information of the management company (if applicable) and the General Manager. Your General Manager does not need to have an equity interest in the Property or you.
You must comply with Standards for the training of persons involved in the operation of the Property. You must at all times maintain a General Manager who has completed the initial and other training we require in the Manuals or otherwise. Before the Property becomes operational, your General Manager and other required employees are required to attend and successfully complete our required pre-opening training. If you hire a new or replacement General Manager in the future, you must pay us a fee for the new or replacement General Manager to attend the General Manager Professional Development Training and Leadership Training.
Source: Item 15 — Obligation to Participate in the Actual Operation of the Franchise Business (FDD page 87)
What This Means (2025 FDD)
According to the 2025 Best Western Franchise Disclosure Document, franchisees are responsible for retaining and exercising direct management control over their property's business. Whether the franchisee is an individual, corporation, LLC, partnership, or other entity, this responsibility must be maintained at all times.
For Best Western, Best Western Plus, Best Western Premier, Executive Residency by Best Western, @Home by Best Western, Vīb, or GLō System hotels, this can be achieved by providing qualified and experienced management. This can be in the form of a management company approved by Best Western or a full-time, dedicated, on-premises general manager. For Aiden System Hotels, franchisees are required to hire an approved management company to operate the property.
Best Western retains the right to reject a proposed management company if it determines that the company is unwilling or unable to comply with the brand's standards. Franchisees must provide Best Western with up-to-date information regarding the management company (if applicable) and the General Manager. The General Manager is not required to have an equity interest in the property or the franchisee's business entity.
Franchisees must also comply with Best Western's standards for training individuals involved in the property's operation and maintain a General Manager who has completed the required initial and ongoing training. Before the property opens, the General Manager and other required employees must attend and successfully complete pre-opening training. If a new or replacement General Manager is hired, the franchisee must pay a fee for them to attend the General Manager Professional Development Training and Leadership Training.